Sun Life Asia survey shows Philippine legacy planning demand rises on wealth preservation focus

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Philippine legacy planning demand

Highlights

Sun Life Asia’s 2023 survey finds 36% of Filipinos have fully documented and communicated legacy plans, exceeding the regional average of 22%, up sharply from 6% in 2022.
The share of Filipino respondents with no legacy plan has dropped to 8% from 25%, while those partially planned fell to 37% from 57%, reflecting more formal wealth preservation efforts.
Despite increased planning, 82% worry wealth may not survive beyond the next generation, with 50% citing unprepared beneficiaries as the top risk over market volatility or family conflict.

Survey findings point to more formal planning

As reported by BusinessWorld, citing Sun Life Asia, its second annual Legacy Planning survey, conducted in August among 3,073 respondents across Hong Kong, Indonesia, Malaysia, the Philippines, Singapore and Vietnam, finds that 92% of Filipino respondents intend to leave financial assets or wealth to future generations. Among them, 61% say they want investments to secure long-term growth, while 55% cite essential family needs and 53% point to education.

Education ranks among the top three legacy priorities for 56% of Filipino respondents, followed by wealth and family traditions at 45% each, and personal influence at 35%. Sun Life of Canada (Philippines), Inc. President, Chief Executive Officer and Country Manager Jonathan Juan "JJ" D. Moreno says in a statement that Filipinos are viewing legacy through a broader lens, with families aiming not only to pass on wealth but also to create opportunities and share values.

The study also shows legacy planning is becoming more formalized in the Philippines. About 36% of respondents say they have fully documented and communicated plans, up from 6% a year earlier, while 18% say they have documented plans that have not yet been communicated, compared with 16% last year.

Sun Life Philippines says the country ranks among the strongest markets in Asia for formalized legacy planning, with the 36% who have fully documented and communicated plans exceeding the regional average of 22%. At the same time, the share of respondents with no legacy plan falls to 8% from 25%, and those with partial plans decline to 37% from 57%.

Wealth transfer confidence is also improving, with 58% saying they feel mostly prepared for their legacy, up from 28% last year, while 18% say they feel fully prepared, compared with 16% previously. Sun Life Asia says confidence is rising, but many plans still need refinement, better alignment with heirs and clearer execution arrangements before families consider themselves fully ready.

Heir preparedness becomes a bigger concern

Even as planning activity increases, the survey suggests Filipino families are more concerned about preparing the next generation than protecting assets alone. Some 82% say they are worried their wealth may not survive beyond the next generation, and 50% identify beneficiaries being unprepared to manage inherited wealth as their primary concern, ahead of market volatility at 46% and family conflict over assets at 42%.

Poor financial decisions or overspending are cited by 40% of respondents as the biggest risk to preserving family wealth. Another 30% point to a lack of financial literacy among future generations, while 29% cite family disputes or conflicts.

Younger respondents show more optimism, with 71% of Gen Z and 73% of Millennials believing their wealth can positively affect future generations. Sun Life Asia says the findings signal a shift from asset protection toward successor preparedness, while Moreno says financial knowledge, open conversations and clear plans are becoming as important as investment performance in building a lasting legacy.

Family discussions about wealth transfer are also becoming more common, with 70% of Filipinos saying they have had at least some legacy-related conversations, although only 25% say plans have been fully communicated. Professional guidance remains an emerging need, as 34% say they have already sought legacy-planning advice and 50% say they want to do so in the future, while communication with beneficiaries through a financial advisor rises to 37% from 15% a year earlier.

In our earlier article on weather-related disruptions in the Philippines, we examined how monsoon rains and Typhoon Maymay cut average weekly working hours and affected workers’ take-home pay, creating new scheduling and payroll pressures for employers. We also highlighted that, despite easing unemployment, underemployment remained elevated, prompting calls for companies—especially in labor-intensive sectors—to upgrade workforce and payroll systems to stay resilient through fourth-quarter demand and further storm risks.

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